Shipments of Russian oil from ports in the week of November 3–9 fell to their lowest level in nearly three months, as exporters scrambled to rework logistics amid US sanctions, Kommersant reported, citing a review by Russia’s Center for Price Indices.
According to the Center, about 320,000 tons of oil were loaded per day from Russian ports that week. Similar levels were last seen in mid-July, when the European Union’s 18th sanctions package took effect. The paper notes that 23 tankers departed Russian ports during the week, compared with a prior average of 26–28.
At the same time, shipping costs are rising, market participants say. Over the week, rates climbed about 3.7% from the previous week across most major routes, with the sharpest increases on voyages to Turkey. Shipowners have begun demanding additional premiums due to US sanctions-related risks.
Russia’s largest oil companies, Lukoil and Rosneft, were placed under US sanctions on October 22. Facing the threat of secondary sanctions, some foreign firms have started refusing Russian crude. China’s Yanchang Petroleum, for example, has done so. In early November, Bloomberg reported that Chinese refiners canceled part of their Russian oil deliveries, affecting nearly half of China’s daily imports of Russian crude. In late October, Chinese companies were hit with European and British sanctions for purchasing Russian oil.
After the US sanctions were announced, Indian companies also began reviewing their contracts for Russian crude. India had been the second-largest buyer of Russian oil after China. Later, state giant Indian Oil Corp said it resumed purchases of Russian crude but now buys through intermediaries to bypass US sanctions on Rosneft and Lukoil. Bharat Petroleum Corporation Limited, India’s second-largest state-owned refiner, also said it plans to buy only from “non-sanctioned suppliers.” However, as an expert told The Insider, verifying the origin of the oil is nearly impossible, making such commitments largely formal.
